Unsecured loans are basically meant for people who do not have any property to offer as security.
The advantage as was mentioned earlier is the lower rate of interest than other conventional car loans making it cheaper.
What is the loan to cost (LTC) required for construction loans? This is cash equity such as down payment on land.
Since these loans are granted for a limited period you have to pay off the leaned amount with your next month's salary.
Besides borrower who does not want to pledge their property as collateral can also avail the loan.
Since the local lenders are invested in the community, they will often offer more flexibility for consumers as they "portfolio" their loans.
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